Tesco's Horsemeat Scandal Analysis

778 Words4 Pages
This chapter is a detailed summary of Tesco’s horsemeat scandal and explains about possible adverse catastrophic effects apart from its risk structures , Establishing an business and maintaining its reputation is a biggest challenge for any organization, but all of their hard work may also can come to the end due to any single killer mistakes, the ethic for the largest retailer has more than 90 years of history also evident that there is no difference in paying penalty when comes to mistakes, Where in 2013 Tesco brands handicapped when Irish food inspectors announced that they found frozen beef burgers containing horsemeat of leading companies. Shortly Selten; Supplier of many leading grocery chains including Tesco, was ordered to recall fifty thousand(50,000) tones of its meat sold as its horse smuggling and abuses proved. subsequently when Tesco’s beef burgers tested positive in DNA test and found its beef burgers contained twenty nine (29) percentage of horse meat (The Guardian, 2013), however further complications started when it was found that Tesco’s Everyday Value Spaghetti Bolognese pack also contained sixty (60) percentage horse meat (BBC, 2013) then in response to the controversy Tesco recalled its 26 product lines, which emerged as one of the biggest food fraud in Britain and caused three hundred million dollar loss for Tesco…show more content…
After almost one year in Oct 2014 legendary investor Warren Buffett expressed that acquired the shares of Tesco was “a huge mistake”, which might impact on future investors more than an ordinary statement made by an investor. The impact further enforced when Tesco announced that no dividend for shareholders nearly after two years in

More about Tesco's Horsemeat Scandal Analysis

Open Document